Federal Funding Briefing, May 2025

JAMESON-SELECTED NEWS, STORIES & INSIGHTS

In the May Federal Funding Briefing, we recap some of the news we shared this month. Look for stories on the latest efforts to protect and support R&D and innovators, essential info on 15% indirect rate caps, and insights and opportunities for SBIR/STTR grantees and contractors. 

Numerous Efforts to Protect Small Business Innovation

This month, there was a lot of activity on Capitol Hill and elsewhere seeking to protect and further federal support for innovators.

• Senator Markey introduced the SBIR/STTR Reauthorization Act of 2025, which would make permanent and expand these programs. Press release, links to bill text, and one pager are here.
• The bipartisan Research Advancing to Market Production, RAMP for Innovators Act bill, was introduced in the Senate, with companion bipartisan legislation introduced in the House.  Learn more about this effort to empower commercialization for small businesses. Read more.
• ML Mackey, CEO of Beacon Interactive, provided testimony to the House Small Business Committee on the critical importance of cementing the reauthorization of the SBIR/STTR programs, supporting participants’ path to commercialization, and increasing oversight and accountability. Read more.
• The Senate Subcommittee on Intellectual Property held a hearing on foreign threats to IP, with a focus on the CCP. This included industry testimony and discussion of a number of legislative solutions. Read more.
• The ITIF, recognized as the world’s largest think tank for science and technology policy, offered an in-depth response to the OMB’s request for information on deregulation. Read their full response here. 
• New data showed that of the 12 agencies running SBIR/STTR programs, only the NIH has made significant progress in preventing foreign adversaries from taking advantage of R&D funding. For an overview of the findings and a link to the full report, read here.

Section 174 Needs to Be Part of the Conversation

“As Congress considers how to boost growth through better tax policy, immediate expensing of R&D spending and reducing the compliance burden of the R&D tax credit are the lowest-hanging fruit.” Tax Foundation has a great in-depth article on this topic. Read it here.

Essential Info on the DoE’s 15% Indirect Rate Cost Cap 

A federal judge issued a preliminary injunction on the Energy Department’s 15% cap on indirect research costs, calling the cap “arbitrary and capricious.”  Read more.

Why R&D Funding Matters

R&D cuts have a ripple effect. Without sustained funding, the pipeline of scientific breakthroughs that fuel startups, attract venture investment, and generate regional economic growth may dwindle. The result isn’t just fewer patents—it’s fewer companies, fewer jobs, and a weaker national economy.  Read more.

May Federal Funding Briefing: Info For SBIR/STTR Grantees and Contractors     

Tech Connect SBIR/STTR Spring Innovation Conference is June 9-10 in Austin, Texas. This is a great opportunity to network with federal decision-makers, investors, and industry experts. Attend informative sessions. And check out technology showcases. Register here

SBIR/STTR Innovator Training Workshop at Tech Connect, June 11, 2025.  Register for this 3-part workshop:  Phase I Proposal Development, SBIR/STTR Accounting Basics (with Ed Jameson), and Phase II Proposal Preparation. Details and registration here.

New to federally funded R&D? This article takes you behind the scenes and explains the lifecycle of a research grant. Read it here.

Before you negotiate intellectual property rights, including data rights, with the US Army, read this article. 

A Phase I funding award requires the meticulous tracking of spending in compliance with FAR Part 31. You must be able to produce Job Cost Reports and calculate indirect cost rates to progress to Phase II. Our Phase I DIY Survival Kit shows you how to turn QuickBooks Online into a compliant accounting system. Details here.

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